Nubank Expands Offerings in Colombia After Getting Regulatory Approval
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Nubank has received regulatory approval to expand its services in Colombia. This comes after the financial institution obtained approval from the Financial Superintendence of Colombia to operate as a financing company.
This approval will see the subsidiary of Nubank, Nu Colombia, expand its product portfolio to include savings. The subsidiary is also planning an upcoming launch of a service known as Cuenta Nu.
Nubank Expands Offerings in Colombia
Nubank will accomplish a key milestone in its growth plan by being approved as a financing company. As of September last year, the institution had rapidly grown Colombian customers to 800,000.
While commenting on this approval, the general manager of Nu Colombia, Marcela Torres, noted that “obtaining this license is the result of months of hard teamwork. It represents a fundamental step in our journey in Colombia. It enables the right regulatory framework to launch Cuenta Nu and further expansion of our product portfolio.”
The executive also noted that Nu would ensure Colombians attain their savings goal and meet financial plans. It will also allow the institution to impact more clients.
Nu Columbia marked its second-anniversary last year. At the time, it predicted that capitalization for the next two years would reach $150 million. This metric will see the total investment since 2021 hit around $450 million.
Nubank’s Growing Presence in Latin America
Nubank has been looking to expand its presence in Latin America. Colombia and Mexico are two of its strategic markets in the region. Besides operating in the two, Nubank also has a presence in Brazil. These three markets are vital to Nubank’s growth as they account for 60% of the total GDP of Latin America.
Nubank’s efforts to grow in these markets are paying off as it continues to see increased customer numbers. The bank’s customer base in Mexico increased to 4.3 million. This growth largely came from releasing its savings product in the country.
It has also been growing its presence in Brazil. The product portfolio in the country has continued to grow with the launch of credit cards, which have reached 39 million active customers. Savings accounts reached 65 million, and personal loans reached 7 million active customers.
These growth metrics in other Latin American markets show that Nubank is paying much attention to Latin America. It announced plans to invest 1.5 billion Colombian pesos in June over the next five years.
